Millions of pensioners and families missing out on £4,700 in DWP payments – how to check if you’re one of them

More than 3 million families are missing out on essential government support despite being eligible, new official data has revealed.

Figures from the Department for Work and Pensions (DWP) show that up to 2.6 million households were not claiming universal credit or equivalent benefits in 2025, missing out on £12.7bn. This equates to an average of £4,700 a year each.

While around 72 per cent of those eligible were claiming their entitlement, at around 6.1 million families – more than a quarter – did not take up what they were owed.

Many pensioners are also missing out on financial support, the figures show.

Up to 900,000 pensioner families entitled to pension credit did not claim it in 2025. This left £2.4 billion unclaimed, amounting to an average loss of roughly £2,500 per family. This equated to a take-up of 62 per cent, similar to the previous year.

Deven Ghelani, director at Policy in Practice – a group that works with local authorities to boost benefit take up – commented: “The latest benefit take-up statistics show how much work is still to be done to encourage people to take up the support that they are eligible for.

“This data is shocking at any time – but particularly in a cost of living crisis.

“Central government can and should be doing more. Local government is showing the way, using data to drive take-up campaigns that are putting millions into the pockets of struggling residents.”

Research from Policy in Practice last year estimated that around £24bn in state support would go unclaimed in 2026, a new record high. The majority of this is due to unclaimed universal credit, followed by carer’s allowance, pension credit, and child benefit.

A DWP spokesperson said: “The majority of eligible families and pensioners claim the support they are entitled to. Among families with children, take-up of Universal Credit or equivalent benefits is 81 percent overall and 94 percent for lone parents.

“We want everyone to get the support they are entitled to which is why, among other measures, we have launched our biggest-ever Pension Credit campaign, which helped drive 33,500 more awards.”

Households can check their entitlement through independent, free online calculators recommended by the government.

Platforms hosted by charities and advisory groups– including Policy in Practice, Turn2us, and entitledto – allow people to enter details about income, savings, housing costs, and family circumstances anonymously.

Working-age applicants generally need to have less than £16,000 in savings to qualify for Universal Credit, although payments depend on household earnings, childcare costs, and local rent rates.

For older people, the government runs a dedicated Pension Credit calculator on GOV.UK. Entitlement can also be checked over the phone via the DWP claim line.

Local Citizens Advice branches, welfare rights groups, and charities such as Age UK also offer free, in-person checks for those unable to access online services.